LONDON: The aggregate value of all cryptocurrencies hit a record high of over $200 billion on Wednesday, according to industry website Coinmarketcap, putting their reported market value at more than that of US banking giant Citigroup.
The new record came as the biggest and best-known cryptocurrency, bitcoin, hit a record high of $7,500 on the Luxembourg-based Bitstamp exchange, after a more than tenfold increase in value over the past 12 months.
That took its own “market cap” — its price multiplied by the number of coins that have been released into circulation — to a record high of more than $120 billion.
The second-biggest cryptocurrency, ether — sometimes known as “Ethereum” after the project behind it — has a market cap of just below $30 billion, with another 1000 or so rival digital currencies making up the rest of the $200 billion.
If the cryptocurrency market were a company, its valuation would put it in the top 25 firms on the S&P 500 stock index.
The latest surge in bitcoin was driven by news this week that CME Group, the world’s largest derivative exchange operator, would launch bitcoin futures in the fourth quarter of the year, as well as speculation that Amazon could be set to accept the digital currency.
Many are concerned that the market represents a bubble, with the latest warning coming from the head of Credit Suisse on Thursday.
Cryptocurrencies’ market cap hits record $200 billion as bitcoin soars
Cryptocurrencies’ market cap hits record $200 billion as bitcoin soars
Industry leaders call for increased collaboration in various sectors at Vision Golfe 2024
PARIS: Industry leaders and experts explored opportunities in the field of supply chain and transportation and discussed ways to improve collaboration to achieve goals at the two-day Vision Golfe 2024 in the French capital.
The business platform enabled discussions and sharing of knowledge about several industries. The key objective of the event is to promote business cooperation in high-growth markets across both private and public sectors, such as trade, transport, energy, retail, sports, culture, and the environment.
Speaking at a panel on the future of infrastructure and transport corridors moderated by Arab News, Abdullah Al-Munif, vice president of commercial business at the Saudi Ports Authority, said: “In 2021, the National Transport Strategy was launched to make Saudi Arabia a global logistics hub, in all aspects, rail, air, logistics.”
The Saudi official stressed the importance of collaboration, both at the national and international levels, to achieve one’s goals.
The discussion was followed by the signing of a memorandum of understanding between the Saudi Ports Authority, known as Mawani, and the Marseille Port Authority (Port of Marseille Fos), to boost collaboration between the two entities.
Al-Munif described the MoU as yet another “milestone” in the ongoing economic transformation journey of Saudi Arabia.
Commenting on the project during the panel, Gerard Mestrallet, special envoy of the French president for the India-Middle East-Europe Logistics Corridor, said: “The objective is to create corridors, to increase trade and connectivity between India, the Middle East and Europe.”
He emphasized increasing cooperation in the fields of transport, energy, renewables, data, and fiber optic and “to benefit from the existence of a corridor to accelerate energy transition.”
Panelists also highlighted the importance of the private sector in the deployment of key infrastructure projects. They viewed fostering partnerships with the private sector as necessary for sustainable global growth, especially amid the ongoing uncertainty and supply chain disruptions caused by several geopolitical factors.
“Supply chain is a demanding and strategic industry. Maritime transportation is complicated, air transport is the key. There is a need for a mix of balance between risks and opportunities,” said Patrice Bergamini, diplomatic adviser to the chairman & CEO of CMA CGM Group.
Highlighting different giga-projects currently under way in the Middle East in the field of transport, Zahi Sabeh, product director for the mainline platform at ALSTOM, said: “We continue to support the different visions of various countries. Proposing high-speed trains as well as sustainable trains… successful transport models around the world, Europe and elsewhere.”
According to Charles-Emmanuel de Beauregard, head of corporate and institutional banking at Qatar National Bank, the financial standing of the Gulf Cooperation Council countries is quite diverse.
While all countries don’t share the same financial profiles or means to carry out infrastructure projects that require long-term engagement, the challenge is about how to secure financing.
“Infrastructure financing requires 20-30 percent in equity. Sovereign wealth funds have an important role to play. Qatar and the UAE have advanced infrastructures, but the big player today is Saudi Arabia and PIF is playing a key role,” said Beauregard.
There is competition to attract foreign direct investment, and while financing follows equity, international banks are tight on liquidity due to the higher interest rate environment on a global level.
Vision Golfe aims to accelerate commercial partnerships between France and key players in the region, such as Saudi Arabia.
PIF-owned Riyadh Air, China Eastern Airlines sign deal to enhance connectivity, digitalization
RIYADH: Saudi Arabia’s newest carrier Riyadh Air has inked a deal with China Eastern Airlines to bolster future connectivity and enhance collaboration on digital transformation.
The agreement, signed at the International Air Transport Association Annual General Meeting in Dubai, marks a significant step for the Public Investment Fund-owned airline toward entering the vital Chinese market, according a press release.
The newly inked MoU also aligns with the Kingdom’s plans to increase passenger numbers and expand flight routes.
“This MoU marks a significant milestone for Riyadh Air as China is a hugely important market for our future network. By closely collaborating with China Eastern Airlines, a leading player in the Chinese market, we can unlock new travel opportunities and drive economic growth across both countries,” CEO of Riyadh Air Tony Douglas said.
“We are particularly excited to explore synergies in digital innovation, where both airlines share a commitment to the future of travel,” Douglas added.
The CEO went on to note that the collaboration extends beyond conventional connectivity, fostering collaboration on digital transformation, a critical area for the Chinese airline.
He said: “Recognizing China Eastern’s ongoing digitalization efforts, Riyadh Air sees immense potential for knowledge sharing and technology development.”
He concluded by highlighting that Riyadh Air’s pioneering approach perfectly aligns with China Eastern’s focus on digital transformation, creating a powerful partnership for the future.
Chairman of China Eastern Airlines Wang Zhiqing said: “The signing of this MoU outlines the broad direction for cooperation between the two companies in areas such as business and promotes exchanges in information technology and digital operations.”
Zhiqing added: “We are full of anticipation for the outcomes of this cooperation. China Eastern Airlines is committed to driving high-quality development through comprehensive digital empowerment, enhancing core competitiveness, and providing excellent products and experiences for our customers.”
The chairman stressed that the agreement will ease passenger transfers between China and regions such as the Middle East, Europe, Africa, and South America.
Earlier in June, the PIF-backed firm signed agreements with two major carriers, Singapore Airlines and Air China, to establish strategic partnerships and expand its global network.
The deals signed at the time focused on interline connectivity, codeshare arrangements, and potential collaboration in frequent flyer programs as well as cargo services, customer experience, and digital innovation.
Top Saudi universities to launch National Capability Center for Semiconductors
RIYADH: In a significant boost to the Kingdom’s semiconductor industry, Saudi Arabia’s two premier research institutions have joined hands to launch a national center for semiconductors.
The facility will focus on research and development in the sector and increase local capabilities.
Details of the collaboration were revealed at the 3rd Future of Semiconductors Forum in Riyadh on Wednesday.
Speaking at the forum, Munir El-Desouki, president of the King Abdulaziz City for Science and Technology, said: “We are excited to announce an extension of our partnership with King Abdullah University for Science and Technology to launch the National Capability Center for Semiconductors, NCCS, utilizing KACST and KAUST’s expertise and resources to foster innovation and knowledge exchange in semiconductors.”
The center will allow access to 30 universities in the Kingdom and impart training to 500 Saudi students annually.
El-Desouki also revealed his university’s plan to launch a master’s program in collaboration with the Princess Nourah Bint Abdulraham University and the University of California, Los Angeles.
KAUST President Tony Chan said: “We are committed to developing world-class research and innovation capabilities in the semiconductor sector.”
He said that KAUST has made significant investments in the last few years to establish a state-of-the-art semiconductor research and development facility that “supports our mission to be a leading contributor to the national effort.”
Chan added: “We have also started a dialogue for partnership with Alat in terms of training and research. We are committed to doubling our investment in these areas together with our partners in the Kingdom. We have also started a special two-year diploma program on integrated circuit design, which will provide training manpower in the Kingdom.”
Mawani and Marseille Port Authority sign deal in Paris
PARIS: During the first day of the second edition of Vision Golfe 2024, held in Paris at the French Ministry of Economy, Finance and Industrial and Digital Sovereignty, the Saudi Port Authority and the Marseille equivalent signed a memorandum of understanding.
This agreement is part of France and Saudi Arabia's commitment to excellence in trade and maritime transport.
Omar Al-Hariri, chairman of the port authority, also known as Mawani, and Hervé Martel, chairman of the Port of Marseille Fos, were present for the signing, as were the Saudi Ambassador to France, Fahad Al-Ruwaily, Christophe Castaner, chairman of the Grand Port Maritime de Marseille, and Laurent Saint Martin, director general of Business France.
Mawani's mission is to strengthen Saudi Arabia's leadership as a global logistics hub linking three continents, and oversees Saudi Arabia's ten ports in the Persian Gulf, Arabian Sea and Red Sea.
Closing bell: Saudi main index slips to close at 11,553
RIYADH: Saudi Arabia’s Tadawul All Share Index slipped on Wednesday, losing 58.87 points, or 0.51 percent, to close at 11,553.16.
The total trading turnover of the benchmark index was SR8.05 billion ($2.14 billion) as 52 of the stocks advanced, while 163 retreated.
Similarly, the Kingdom’s parallel market Nomu slipped 107.49 points, or 0.41 percent, to close at 25,925.53. This comes as 28 of the listed stocks advanced while 32 retreated.
Meanwhile, the MSCI Tadawul Index slipped 7.61 points, or 0.52 percent, to close at 1,445.81.
The best-performing stock of the day was Dr. Soliman Abdel Kader Fakeeh Hospital Co. The company’s share price surged 10.09 percent to SR63.30.
Other top performers include Alkhorayef Water and Power Technologies Co. and Ades Holding Co. as well as Taleem REIT Fund and Al Jouf Cement Co.
The worst performer was Fawaz Abdulaziz Alhokair Co., whose share price dropped by 5.30 percent to SR8.04.
Additional poor performers were Sustained Infrastructure Holding Co., the Mediterranean and Gulf Insurance and Reinsurance Co., as well as Saudi Cable Co. and Batic Investments and Logistics Co.
When it came to Nomu, the best-performing stock of the day was Bena Steel Industries Co. The firm’s share price jumped 9.09 percent to SR36.
Other top performers on Nomu include Riyadh Steel Co. and Lana Medical Co. as well as Advance International Co. for Communication and Information Technology and MOBI Industry Co.
On the other hand, the worst performer on Nomu was Future Care Trading Co., whose share price slipped by 5.59 percent to SR12.16.
Other firms to see drops were Arabian Plastic Industrial Co. and Group Five Pipe Saudi Co. as well as National Building and Marketing Co. and Mayar Holding Co.
On the announcements front, Bupa Arabia for Cooperative Insurance Co. announced that it had received the final approval from the Insurance Authority to sell its new insurance product “Bupa Arabia Network Upgrade” in Saudi Arabia.
Moreover, Ladun Investment Co. has announced a five-year rental contract with the Real Estate Development Fund in Riyadh, with a total value of SR107 million.
According to a Tadawul statement, the deal is expected to have a positive financial impact from 2024 until 2028.
